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tv   Fast Money Halftime Report  CNBC  October 16, 2014 12:00pm-1:01pm EDT

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about ebay and the revenue cut. it does seem the stump of the ebay company is going to be slow growth. >> many years they effectively driftedsi eed sideways. amazon blew past. and it's going to be hard to accelerate that. >> thanks for joining us. over to post 9 where scott is with the half. all right thanks very much. welcome to the halftime show from post nine. today's starting lineup. joe terranova. john najarian, pete najarian. and here is where we stand right now. the dow trying to avoid its sixth straight losing session. the nasdaq dipping into
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correction territory again. albeit briefly. you have had a comeback in stocks dow down only 73 points. a bit of come back and we continue to watch that closely. joe what do you make of the trade thus far, obviously considering the volatility we saw yesterday and put it in context with what we're seeing now. >> this morning at 3:30 the s&p futures are around 57. they proceed to fall down to basically yesterday's lows. a lot of guys that i talk to who are trading the markets basically closed the books up at that point. and i think today is probably one of the more confusing days in terms of trying to understand which direction the market wants to gravitate towards, either higher or lower. >> i spoke to a hedge fund manager a little earlier who said the market is uninvestable. >> yeah. >> it is tradeable. it is uninvestable at this point. >> i know pete and john and
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instead of are quite a bit active in terms of trading but for me the last couple of weeks have been great trading. today i don't view it as being as good as in the last couple weeks. a stepback moment for me. >> we're going to of course continue to cover the markets, all the big moves and the stocks making news, including netflix and goldman sachs. first however down to washington, d.c. and the director of cdc is appearing before a house hearing on ebola. meg you are tterrel is there. >> we are awaiting testimony to start any minute now. a lot of questions obviously about the u.s. preparedness for ebola. and his published remarks he spends time talkingic about our response in west africa saying over and over as he has before that the only way to make the risk zero here is to stop it at its source. there is likely to be a lot of questions and discussion about block flights from those
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countries in west africa. cdc saying that would be counterproductive to stopping the outbreak at the source. frieden also says the cdc is taking strong steps to protect americans here at home and the infections in dallas shows the need to strengthen procedures for infection control. and also daniele var ga, the owner of the hospital in dallas that treated tomas eric duncan. he says in prepared remarks he apologizes for mistakes made in the initial treatment of mr. duncan who was initially sent home from the hospital before he returned and passed away on october 8th. we'll hear from him and also representatives of the nih, fda and barda. which controls symptom piling of drugs. and the department of homeland securi security. back to you guys. >> we're going to take you live into the hearing room once the q
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and a portion begins. meg is going to be monitoring the whole thing and will bring us any head lines that develop out of the nation's capitol. in the meantime back to the markets. stephanie link, you have had a while few days to say the least. things to hang your hat on today. russell is on pace for a positive week. transports have turned around as well. how much cred do you put in what's taking place there. >> the volatility is definitely here to stay i think. and i don't know when the bottom is but i can say the points that you made certainly are encouraging. the iwm actually also outperformed yesterday. and then the fundamentals. trying to step back and see what am i learning here. i learned --. new cycle lows. thattene couraging on the economy. u.s. is doing ak and i'm listening to companies and earnings. american express, card spending
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9%. csx, carloads up 7%. and yields up one%. uri talking about non residential construction still strong. none of these lowered guidance because of currency or because of europe. they are talking about softening in europe but they have other off sets and the u.s. continues to do well. so those are the names that we are buying. we are adding to very slowly because i don't know when the bottom is. but i feel confident that the stories and fundamentals for those companies as well. >> you do still feel comfortable pete nibbles on things worth a trade? >> no doubt. it's all been about techesals. the reactions they don't make sense. after intel, that was traded 33. next day that got underneath 30 a share. i think those are the opportunities. when we get to know some of the information, we hear the
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guidance the csx. has that reacted had way it should have given the numbers? no. but again it is not about fundamentals now. it is about technicals. which means opportunities for trading. great environment for trading. very difficult from an investing standpoint. >> i think what this is mostly about is sentiment. right? >> is it sentiment or is it ebola what's going on around the world right now. >> yeah it's all of that which is in turn creating the sentiment, which is uneasy. which says sell first ask questions later. you don't have people willing to come in and buy the market because they are just uneasy about the way things stand. >> the sentiment shifted. no doubt about immaterial. but was the sentiment too low before? so low, so extreme and no one respected that fact and even when we started to push up we were trading in a 20 vix that
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did not apply much of a move we were getting in the market. now at 25, 28 we are getting the moves that makes sense. it's finally priced right. >> our next guest made big head lines when he went from the biggest bear to the biggest bull. back in august as the market is pulling back now. he now says the call may have been too early. barry banister chief strgs. a --. >> hey scott. >> were you too early in getting too bullish. >> we went into the year with an 1850 view and here we are at 1850. so we probably should have stuck with that. however we jumped the gun but it doesn't change things a still look bullish. i expect a strong november rally and gains into 2014. >> what is the setup that looks bullish to you. >> one thing you have to
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consider and cannot fight this tape. the period from november to may historically is 30 times more rewarding than the other six months of the year, which is from may to october. so you want to be bullish in this time frame. now in a fundamental basis i think eps growth slows next year but reasonable rates e vauluations and a bullish policy backstop and ore countries are adopting our more stimulus policies gradually. >> the way the market has reacted has shaken you up enough to have you recessing sort of where we stand at least in the near term. do you think the correction is nearing end? do you think it has much more to go? >> obviously 450 points in 50 trading days is a little bit of a reach.
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but i think we will hit the 300 in a reasonable time frame. we know the risks. deflati deflation, decreases for global gdp and earnings and over volatility moves. but i think things look pretty bullish. >> you are saying with the 300 s&p target right here and and now? >> yeah when you call me back in november/december we'll watch that rally and get a better gauge and hopefully by then we'll be talking about the next year and i'm very bullish in the next six to twelve months, yes. >> what about earnings? you said you expect them to be next year from this year? where are you thinking they are going to come in and what are you then thinking? multiple expansion to goat your target? >> yeah a very low risk free rate and reasonable multiple when you consider that. when you look at the overall cyclics they tend to trade at
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lower pes because of the lack of confidence. >> we will call you back and have you back on november/december. all right? >> it will be a big rally. you bet. >> we shall see what happens there. coming up as by mentioned we're going to keep an eye on the congressional hearing in d.c. on ebola taking place right now. our reporter meg terrel is there watching it. she's going to bring us any developments and we'll take you inside the room once the q and a portion begins. also, finding the selloff's silver lining. why citi says the commodity research falling oil will promote global growth. also is it time to cancel your subscription to netflix?
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an updated call where we think the stock is going. and there is a look at netflix down 22% nearly a decline of a hundred bucks. but what if you could see more of what you wanted to know? with fidelity's new active trader pro investing platform, the information that's important to you is all in one place, so finding more insight is easier. it's your idea powered by active trader pro. another way fidelity gives you a more powerful investing experience. call our specialists today to get up and running. [ female announcer ] we love our smartphones. and now telcos using hp big data solutions are feeling the love, too. by offering things like on-the-spot data upgrades -- an idea that reduced overcharge complaints by 98%.
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walmart and ebay.
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both are lower. back to this conversation we just had be barry banister. i don't know what you make or what you folks wherever you are watching make of a big bear who becomes a big bull with a lot of noise around it and then is all of a sudden having second thoughts because of what's taken place in the market. >> the problem is he's not trying to turn around the battle ship. and the battle ship is the money you are actually managing in the market. if you are managing a couple hundred million and you have to ask yourself, hedge funds interest the ability which is problematic to knock the market down close to 8% without anyone really on the other side of the trade, what incentivizes the hedge funds to turn and come back into the market. what is the catalyst? it could be the return of buy backs in november. >> after earnings season is over. >> but ultimately you have to give consideration to the fact of as the market is in decline, you are asking what is my risk.
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it was always if it breaks a 200 day moving average we could whoosh further and that keeps coming where we are right now. do you want to take on the risk. you are not sure how much percentage to the downside there is. we are coming to the end of the cycle but i don't think we are fully there yet. >> the folks i've been speaking with. don't think it's done yet either. >> and given the price action we're seeing in the markets and i'm talking about moving a big battleship, hundreds of millions of, what is that incentive to come in? do you feel the comfort that you have underneath the market to come back in fundamentally. >> doc, do you feel comfortable to buy anything in this market? >> i do. for our wealth management clients, judge. we are lucky enough they are very wealthy and smart. and whether they were calling us about last night and i spent most of the night talking to folks was indeed what should i buy?
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not should i run around and sell everything and disappear for the next six months? i said you are going to miss opportunities if you do. but instead this they have protections in place they are able to weather the storm and you are not going to get a week where you have 200 moving average and --. like we had yesterday. those are phenomenal and extraordinary moves. we are not going to see that every day, judge. that created opportunity. >> two of the big stock moves over the last 20 hours are ebay and netflix. as you know, ebay came in yesterday. they warned. then you have netflix and just disaster that took place after the earnings came out. the stock sold off by 26, 27%. the analyst at rbc capital markets is here. mark, welcome back. are you there? can you hear me? >> yes. >> good to have you back.
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you have downgraded ebay i see today. are you real disappointed with what happened yesterday? >> modestly disappointed. the spin is in. secondarily the trends a raek r weak. i think the shareholder there is a lot of valuation support but no real reason for the stock to outperform. . we downgraded. >> acquisition now likely if the split is going to happen? >> at the margin i think that is more likely but a tough bet to make as the timing of that who the buy is. so that is a very risky bet to make. we're not willing to make it. >> i'm going to gather that more of our viewers at this point in time care more about what's happening in netflix just given the drama around where that stock has gone. what is your read? is the selloff justified or not?
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>> look they miss domestic streaming net ads by 26% and the stock direct corrects by 26% i get the logic. stepping backs we like this entry point. and the key question is why did the subs miss? because the new ones coming in were lower or greater turn amongst existing subs. the ladder would be a serious problem but that is not what's happening based on survey work. we still think they get to 50 million subs by 2017. and we like the stock right here right now. >> real question you have to ask or anybody thinking about buying this stock and worried about whether they should sell it whether this drop in u.s. subs is a longer term trend or a blip
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on the radar. >> hard to answer. >> because if it is the former, mark, if it is the beginning of a longer term trend you have a real problem. >> you do. if you think the subs are going to decline from here forward you don't buy the stock if you think they can't get to -- you don't buy. we think they can. we don't think there is anything new on the competitive horizon and we think the package the offering each year gets better and better for consumers and more will sign up to it and you have major secular trends behind the company. not only devices but also internet connected tvs. >> what happens to margins? you are talking a higher content and more marketing. so the bear case has been the margins go down and the profitability goes down and the stock goes down. can you address that? >> it's been a key issue. i think that was part of the positive news last night.
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they hit record high contribution margins in the u.s. market. told us that the rest of the world was -- except for the new launch was actually profitable and canada, the first international launch, albeit maybe an easy comparison is at u.s. profitability levels. now they can slow the profitability ramp but it will still rise and they have more fire power with which to buy more content and get more subs. the fly wheel still works here. >> quickly, amazon, buy, sell, hold? >> we like the contrarian buy. love this entry point. >> appreciate that. >> thanks scott. >> in terms of netflix i don't think you want to be a buyer today. this would persist a couple more days. and the guidance going forward is concerning.
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i like netflix as a stock. has it always been very overvolumed? probably. >> just overdone. >> i don't know if this is overdone. that's why you could wait a couple days. >> you don't think. >> i don't think it is yet. >> i'm in agreement. i think it could see another 40 or 50 bucks of down side here. the fact that cbs or hbo, time warner announced just what they did in the last 24 hours, that can't be viewed as the positive and that is additional pressure in addition to what ma hanes addressed. >> if the news had not come out on the same day that netflix was going to have the miss, the reaction would clearly not be as severe. the timing of hbo and cbs. >> couldn't have been worse. >> i agree. that's why i'm saying today is
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not overdone. i think we got there in such a big hurry that many would say wow that has to be overdone but then the charts and the two big competitors basically threw down the gauntlet and these are guys that own the content, that is a problem for netflix. >> the congressional hearing is taking place now in the nation's capital. we're going to bring you any developments. meg terrel is there. we're going in for part of the q and a session wins it starts to get rolling there. and talk to former chair and ceo of continental gordon bethune. and up next, the plunge in crude continuing today. how low cannet it go in and who are the winners and losers? citi's head of commodities joins us with the glass half full side of the oil discussion. take a closer look at your fidelity green line and you'll see just how much it has to offer,
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now almost back at 82. it dipped below 80 for the first time since 2012 and in today's financial times our next guest says falling prices creates big winners and losers. ed morris is head of global dmods research at citi. welcome back. >> nice to see you. >> have but put in a bottom. >> it's hard to pick a bottom. for the time being i think we are sort of there. the big fundamental issue is that the only buyer of crude in the world is refinery. and the demand is way down. crude right now is 2.7 million barrels per day below what it was in august. in the next time markets are come back in the market and demand is going to likely rise by 3 million barrels a day. i would not be surprised if we see a bump up in the price range of brent and wti as a result. >> can you give whether this is
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a valid concept or not. hearing about the saudis intentionally driving down the prices of oil to teach the u.s. shale players a lesson to speak or the put pressure on the russians validity? >> i have no way to know the validity of that. certainly officials have made it clear that certainly at prices under 90 u.s. shale production begins to slide. we did analysis today that indicates that even if the price of wti were at 70 the u.s. would still be increasing crude production. i think if the middle east guys have this in mind they are going to be surprised at the gritty robustness of the u.s. production. >> a question about the liquidation selling on the opening that we've all been talking about and i'm sure on
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your desk. quite the opposite of the bonds, where everybody was bearish on the bonds, in crude oil they were holding on to these things and as it drove down to basically break 80 here there was forced liquidation selling, just no doubt about it that made that move possible yesterday. do you see more of that? or has that cleared a lot of the longs that were just basically holding onto the last minute? >> i think there are go things that work. one of the longs who are getting short if you look at what happened in ice trading, ice brent and wti. the nymex --. the other thing that happened is remember there were a lot of hedges in the market. producers trying to lock in 85 or $80 strike prices. so when you get a bump below 85 you get those who wrote the options for the hedges having to cover the position. that drives the price down even
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further. a lot of strikes at $80. that was one of the more important factors rather than the liquidation that was responsible for yesterday's move. >> it's interesting everybody keeps saying $80 oil is great for global economy. great for consumers. no two ways about it. unfortunately the market hasn't been willing to put full credence in that yet until it figures where it is going to settle. >> sure and this kind of asymmetry between who wins and loses. consumers can benefit from let's call it a trillion dollar global increase in consumer pocket, whether they are companies or individuals. doesn't really matter. but but that is very disperse. meanwhile those who get hurt are producers, sovereigns or independents or among the biggest companies in the world. so there is asymmetry between
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the punishment and gains. and that has to work itself out too. >> ed, appreciate you coming on. timely discussion and we'll talk to you again. ed morris from over at citi. constitutional rights after dropping the ten year is moving hie higher today. >> seeing rates off low and rising from the fed comments of bullard this morning. just how significant were those comments and how do you explain the market reaction? >> first the comments are absolutely stunning. because you have to break it down and think about the motivation of it. he can only be motivated by the fact that stock prices are going down. the economic pictures are the relatively good. giving a the wink to the approximate marketing, saying we're watching and we got your back. so rates can rally if we believe
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that stocks are going to be calm and i think he accomplished his goal in the short-term. >> what do you think about this and the relativity in the bond market means to stocks. >> if stocks will calm a little due this comment here then i think bond have to rally like jim said. the ten year yield does not belong below two percent unless you feel a recession is pending. i know yields global are low. but ultimately two percent blow there a key level. i think it represents whether --. [ inaudible ] >> we're watching 2.4% is where you think they are headed. thanks for much. we're also going get peter schiff's take at 1:00 p.m. >> he may have an opinion or two. about 30 minutes we'll see you there. let's trade it.
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joe? guys? who has a comment where rates may go? >> i have no idea. i think that we've talked about if you are going to own a rate play you want to own company that have restructuring story. you get a double benefit. regionals, i think they are very hard to own until you have that visibility but they are so cheap. >> if you want stocks to start moving higher you need yields to stabilize and move higher as well. >> from a competitive standpoint you would like to see that. john's done an excellent job identifying where the ten year is going. but if you think one of the reasons that you have to be comforted from what's going on right now that it will not lead to a significant deeper decline is the retail community still owns immunities and taxable fixed income and making money right now. >> great trade year to date. >> the retail is not feeling the
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sort of pain that the institutional community is. >> the housing stocks have acted well in the last come of days. also interest rate sensitive. >> you mean the builders? >> yeah. they are all in the green. and these are big moves. >> i mean off their highs we're talking 20 and 30% declines. >> think about it. if you get a new refinance wave that is quite postpositive and also positive for the banks too. >> i wouldn't look for a v-shaped jump back to the yields in the 2.60, 80 range. we're going to get there eventually but global pressure is going hold them. we'll bounce back and forth. this isn't the only time we're going cross two. get get back over and above. a range maybe 180 to 220. >> the dow down about 66 right now. coming up moments away from the
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q&a session of the hearing regarding ebola. we're going to listen in live after omitting are finished. and after the break the chairman and ceo of continental, gordon bethune. stocks have been getting hammered pretty good. that ooebs next 's next
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will that be all, sir? thank you. ordering chinese food is a very predictable experience. i order b14. i get b14. no surprises. buying business internet, on the other hand,
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authorized allergan to release information about valeant company for the purpose of attempting to manipulate the stock price down. it was a conscious strategy by the senior most of allergan's management team and also thinking the new developments only increase the likelihood of the deal happening. this new information came to light over the weekend when a judge forced allergan to give documents to per shing square and value i can't as part of a discovery process. mr. akman saying he think this is new information only increases the likelihood of this valiant and allergan deal actually taking place. so we have reached out to
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allergan for comment. if we get one we'll share it with you. but it's already been a contentious fight. taking more of that turn this hour. airlines have been volatile. gaining ground today after selling off on ebola fiercears. >> gordon, what is the answer for the airlines at this point? >> i think they go o about. they are profession men and women and will do their job. they are going to rely on the government and cdc do their job and protect them. i think it's business as usual. but as you know flying is a confidence thing and we can't erode the confidence of the public. >> do you think that has already
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started to take place and how bad do you think it might get? >> it's hard to say there is more risk adverse people than others. i think some of the discretionary people may say let's put the trip off that to next week or month. it's hard to measure. i don't think the airlines have seen a precipitous decline and load factor. >> do you think gordon given your experience in the many years you ran continental, do you think ceos of the major airlines are considering whether they should cutoff flights from some areas? >> i don't think they would do that without some consideration with the government. i do know though that things like sick calls from crews that won't want to go will increase. so there will be some delays and maybe cancellations if this thing gets out of control. but we are a ways from that happening. >> mr. bethune just quick question on comparison to when we knew people were trying to
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attack u.s. aircraft using basically clear liquids and the ban went in and it had to be three ounces or less. that was the protocol that went in place to address that. now we have a protocol perhaps where any healthcare worker that is anywhere near an ebola patient has to be basically quarantined for up to 21 day or more. don't you think that will also be something that calms these fears? >> absolutely. that will instill a lot of confidence. and i think that is what's lacking here is there is lack of confidence that our government has their hands around this fully. they need to get this quickly done and have the protocol in place for everyone. >> gordon have you spoken personally with the frontier ceo, who i know that you know. and what his reaction might have been? >> no, i know dave siegel well. he's a real professional. i haven't talked to him since this happened.
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obviously he wasn't aware nor was anyone else that the nurse was a passenger. so i don't think frontier has anything they can do other than ensure the airplane was clean. >> what would your reaction have been if you were the ceo of a carrier that had this happen? >> well i think much like david's, is that you cooperate with the government, clean the airplane to, you know, establish there is no continuing threat. but after that, it is an ex post facto world. there is nothing you can take back and that is out of your hands now as an airline. you are just a transportation provider. >> are you surprised at how hard the airline stocks have been hit? >> only because the speculation that this may get out of control. i think the off setting is the drop in oil prices on the upside for the expense ratio but confidence is in name of the game and that's what drives
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stock prices is confidence in the performance. >> you have seen what happens with oil. you just referenced it. again, what are ceos of the airlines thinking when they see oil below 80 bucks? >> they are high fiving it. they were taking the lumps back at 50 and went to 80. now that 80 looks good compared to where it's been. so they have shown a lot of discipline in pricing. and i think this will be a good upside for them. i'm really happy for the industry. >> gordon bethune. former ceo of continental airlines. thanks so much. >> always glad to help. >> time to buy the airlines? >> i like them. and like i say, i just bought a whole slew of tickets and i fly every week multiple times. i've not felt even the slightest qualm about flying and i if you get the protocols i think peel will feel fine. this is not a disease that is
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going to sweep across the country. this is something we just need procedures in place for the healthcare workers. once you know that is in place i think people will feel a lot better. >> you i understand brought a chart that shows the comparison to selling around when sars was dominating head lines years ago. >> exactly. and if you look, you can see sars, which effected about 37 countries, mainly in asia that. had obviously billions of dollars of economic impact. it also, judge, was the catalyst for about a 16% selloff. when the aids -- not aids workers. when the aid workers contracted ebola over sea this is time the dow was -- we made an 8 and a half, 9% correction from there. when you look and see how the markets react after both sars and after this ebola scare, i think you will say that sometimes these get over blown and that is a buying opportunity.
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and i think we are close. >> i think it is a buying opportunity. >> have you added. >> i have. added to american just the other day. delta as well. delta is the second largest fuel consumption in the world and their numbers were good. and you can only imagine how much money are they saving with these levels? but as mr. bethune put out it's got to be a restoration of confidence. once we get that, nothing to the upside i think. >> we're going take you inside that congressional hearing room down in the nation's capitol. there is a live picture. once the q&a portion begins and maybe that will be momentarily. we'll certainly take you inside that room. coming up. he is cooling this the beginning of a long overdue correction. larry altman has his bearish perspective on the selloff and as we continue to watch the market. and if you are trying to buy something from apple right now you're out of luck.
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the web site is currently down ahead of the big event which is expected to start at the top of the hour. what will the company unveil? along with the new ipads, halftime is up next.
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top of the hour, hang out with us. another volatile day. what is an investor like you to do now? the founder of vanguard and father of all mutual funds in a way, certainly of index funds, john bogel will join us. always good to hear from jack. we're live on capitol hill and apple set to kick off its special event minutes from now. a new ipad and we'll be there life with all the breaking news as it happens. halftime will be right back. when change is in the air you see things in a whole new way. it's in this spirit that ing u.s. is becoming a new kind of company. one that helps you think differently about what's ahead, and what's possible when you get things organized. ing u.s. is now voya. changing the way you think of retirement.
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♪ all right. there's your market picture. wow, the dow is now only down 26 points. s&p is a fractional loser. nasdaq after dipping into correction territory yet again down 10% is still only off about 0.25% of 1%. let's bring in larry altman. larry, welcome back. >> nice to be back. >> here's what you said the last time you were on, on october the 1st. i think there's going to be a day, i don't know when it is, when the dow is down 800 points, and i don't think until that happens we're really going to scare people out of this market. we were down at a time yesterday 460 points. is that good enough, or are you still looking for more to the down side? >> i mean, i e-mailed you yesterday, i told you, you know, 1813 in the s&p was almost, you know, within 20 basis points of a 10% correction from high to low. and you know, people say that that high came on the alibaba
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day, but it was really the quarterly expiration of the september future. so i think -- i honestly think that we tested it near it again this morning, and that was probably the first phase of that 10% correction that we were looking for. and people are going to start nibbling at stocks and come back in. and i think ultimately, you know, this is a typical time of the year where we would bottom. but i think the market -- i think the s&p will eventually finish at 1600, 1580, somewhere around there. but the volatility is not going to go away. and you know, even with what bullard said this morning, three weeks ago the market would have rallied 500 points off that statement. and you notice every earnings that come out, johns johnson & johnson, great earnings, the stock went up and went straight down. goldman sachs, great earnings, the stock was up, straight down. so there's a different theme going on now. we're selling off on good news,
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and we're selling off on bad news. so i think that, you know, the whole -- the whole equation has changed. and that doesn't mean we can't have 50-point rally in the s&p from here. and it doesn't mean crude's not going to rally $3 or $4. i think it's pretty clear that the saudis want crude oil down. and i think it's -- the bull market's over for the time being. i think until we get back to that old high, that 1580 high, and find out what's there, i think every chance the market rallies, you want to sell into it. >> i just want to make it clear, you're what we would i guess call a professional day trader. you look at things, larry, correct me if i'm wrong, on an extraordinarily short-term basis. so your view of the market should be taken into context, i think, how your overall view of the market from your own physical activity within the market should be taken as well.
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joe terranova has a question for you as well. you can also comment if i've characterized what you do rightly or wrongly. >> i look at the bigger picture of the market. because i flatten my positions out every night, i can't ignore the fact that i have to adapt to each day's trading. and there's no question about it, but you always have to have in the back of your mind which way the market could extend and what direction. i think, you know, this morning's low will hold for, you know, for a few weeks. >> you do. interesting. >> i would be looking to buy dips rather than sell rallies at this moment. you know, as a day trader. but i do think that the bigger picture is that the market's going lower. >> understood. larry, thanks for calling in. we're up against some things out of the nation's capital, an apple event well. we appreciate your patience. we'll talk to you again soon. coming up, counting down to apple's big event in california expected at the top of the hour. the stock down today. what will happen after the new ipads are actually unveiled?
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welcome back. dow went positive, by the way, while we were in the break, thousand down a couple of points. but there's apple as well as we lead into the event. quickly on the market? >> larry thinks oil bottomed. i said that yesterday. everyone's short oil on the expectation that the saudis are, you know, doing this little action here. great answer by ed. who knows if they're doing it? so why would you be short oil? that's why the market's rallying. energy equities up 2%, near-term bottom in oil. >> we're going to follow it and we're following apple. in about less than a minute or so, this new event to unveil the ipads. guys, let's talk about it. who's a buyer of apple? anybody? are you a seller? >> continue to own it, continue to like it and i think the selloff was a little bit ridiculous as it pushed down towards 95. >> joe, you own it? >> i'm not getting rid of it. >> riding the horse. >> absolutely riding it out. >> that event is scheduled top
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of the hour. of course, "power lunch" will have that for you live. let's do final trades. >> low interest rates. >> hewlett-packard, quality names go higher. >> alibaba lorng, traded great through the liquidation. >> "power" has that apple event bebeginning now. a very big hour ahead. another volatile session. the dow touching an eight-month low but making a big comeback. >> you know, meanwhile, ty, apple is kicking off its special event right now in cupertino, california. we're expecting a new ipad. we have all the breaking news as it happens. first, how volatile has this day been today? well, the best way to see it really look at the chart. talk about peaks and valleys today. right now, the dow jones industrial average has turned negative just slightly after moving into the green a short while ago. the s&p is in the gre


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